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Modeling the currency issue

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  • Jerry Mushin

Abstract

This paper, which includes a critique of an article that appeared in the [New Zealand] Reserve Bank Bulletin, considers the difficulties of building a forecasting model of the optimum structure of the currency (that is, notes and coins) in circulation. The reviewed model leads to predictions that are not consistent with recent experience and there are theoretical objections to the specification of both the independent and the dependent varibles. Alternative approaches are explored, but the conclusion is that this aspect of money is probably not amenable to mathematical modeling. Copyright International Atlantic Economic Society 1998

Suggested Citation

  • Jerry Mushin, 1998. "Modeling the currency issue," Atlantic Economic Journal, Springer;International Atlantic Economic Society, vol. 26(3), pages 252-258, September.
    • Handle: RePEc:kap:atlecj:v:26:y:1998:i:3:p:252-258
    DOI: 10.1007/BF02299343
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    References listed on IDEAS

    as
    1. Jerry Mushin, 1997. "Twentieth‐Century Currency Reforms: A Comment," Kyklos, Wiley Blackwell, vol. 50(2), pages 247-249, May.
    2. repec:bla:kyklos:v:50:y:1997:i:2:p:247-49 is not listed on IDEAS
    3. John Barry, 1994. "Currency trends and developments," Reserve Bank of New Zealand Bulletin, Reserve Bank of New Zealand, vol. 57, December.
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    Cited by:

    1. Jorge E. Galán and & Miguel Sarmiento, 2008. "Banknote Printing at Modern central Banking: Trends, Costs and Efficiency," Money Affairs, CEMLA, vol. 0(2), pages 217-262, July-Dece.
    2. Guillermo Vuletin, 2008. "What is the Size of the Pie? Measuring the Informal Economy in Latin America and the Caribbean," Money Affairs, CEMLA, vol. 0(2), pages 161-191, July-Dece.
    3. Yan Sun & Rupa Duttagupta, 2008. "Price Dynamics in the Eastern Caribbean," Money Affairs, CEMLA, vol. 0(2), pages 193-216, July-Dece.
    4. Carlos A. Arango A. & Martha Misas A. & Juan Nicolás Hernández, 2004. "La Demanda de Especies Monetarias en Colombia: Estructura y Pronóstico," Borradores de Economia 309, Banco de la Republica de Colombia.
    5. Odean B. White, 2008. "Determinants of Commercial Banks’ Cost of Financial Intermediation in Jamaica: a Maximum Likelihood Estimation Approach," Money Affairs, CEMLA, vol. 0(2), pages 129-159, July-Dece.

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